Like the title of this blog suggests, making pips in the Forex is easier said than done. This "reality blog" will allow you to follow my life as a Forex trader. I'll not only discuss trades, but also my emotions during these trades. You'll see my ups and downs, my highs and lows, and my smiles and tears.
This is the true story of one man, picked to live in front of his computer screen and find ways to make money off the Foreign Exchange. See what happens when markets stop being polite, and start being real! The Monday Blah!
Hmm..so there isn't much to report today since there were no major news events concerning the Dollar. However, an interesting thing to look it as the fact that the Dollar has pretty much gained back all of its losses it suffered during the Thanksgiving day fiasco. Can you say reversion to the mean?
Coming Up:
Nothing worth mentioning!
Chart Analysis:
EUR/USD
The Euro ended up retracing back to the 38% Fib line on the daily chart like I thought it would, but I wouldn't say it was anything stellar. Daily stochastics is still oversold and 4hr stochastics is trending up which means we could still see more upward movement. Since tomorrow is another light economic day I don't expect too much, but I do see a good probability that the pair will hit 3050.
GBP/USD
Darn! The Cable did end up making its way to 9400 like I said yesterday, but unfortunately my trade wasn't triggered. I thought the pair might still fall to 61% Fib line before moving back up. At this point, all signs are pointing towards a continuing upward swing, and the next target looks to be around 9450, which is where the 38% Fib line is.
Trade Idea:
Buy at market (9390); Stop Loss= 9330; Target= 9450
USD/CHF
The Swissy did end up moving slightly past its 100 & 200 SMA before falling back down. Daily stochastics is overbought and 4hr stochastics seems to be trending down so my best guess is that the pair will fall to at least 2300. If it falls further than that, look for it to face support at around 2270, which is where the 50 SMA is on the 4hr chart.
USD/JPY
The Yen lost some of its downward momentum but I still think the pair may head down after it makes a run towards 119.00 . Daily stochastics is still heading down so I am still optimistic that the pair will at least get down to 118.00.
Conclusion:
Prepare for the markets to follow the technicals again since there are no economic reports tomorrow.
